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Gasoline Gensets Market Forecast to Grow at 6.5% CAGR, Driven by Asia-Pacific's Dominant 45% Market Presence | DataM Intelligence
Gasoline Gensets Market
This growth is driven by factors such as rising global energy demand, increasing urbanization, the transition to renewable energy sources, and advancements in engine technology for better fuel efficiency and environmental sustainability. Additionally, the market benefits from expanded use in residential and industrial settings, along with innovations in digital integration and fuel efficiency improvements.
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United States: Key Industry Developments
✅ October 2025: Rolls-Royce launched new fast-start mtu gasoline gensets aimed at industrial and commercial applications, enhancing quick power availability with improved fuel efficiency and lower emissions.
✅ September 2025: Yamaha Motor Co., Ltd. introduced high-capacity portable gasoline gensets designed for recreational and marine use, featuring Bluetooth-enabled smart controls for real-time monitoring via mobile apps.
✅ April 2025: Generac Power Systems unveiled ultra-quiet inverter gasoline generators with enhanced fuel economy, targeting residential users with a focus on reduced noise and improved energy efficiency.
Asia Pacific / Japan: Key Industry Developments
✅ October 2025: Japan's leading genset manufacturers intensified R&D on hybrid gasoline-solar gensets integrating AI-based predictive maintenance for improved reliability in commercial applications.
✅ August 2025: Expanded market adoption of Bluetooth-enabled smart gasoline gensets was recorded in Japan, highlighting growth in demand for digitally connected power solutions for industrial and residential users.
✅ July 2025: The Japanese government announced subsidies for manufacturers developing environmentally friendly gasoline gensets, supporting greener technologies aligned with national emission reduction targets.
Key Merges and Acquisitions (2025):
✅ Cummins Inc. - expanded its gasoline genset product portfolio through targeted acquisitions of advanced engine technology firms, enhancing fuel efficiency and digital connectivity features in its genset offerings.
✅ Caterpillar Inc. - reinforced its market leadership by acquiring specialized power system integrators and expanding production capabilities in Asia-Pacific, positioning itself stronger in the growing genset demand region.
✅ Generac Holding Inc. - strategically acquired companies with IoT-enabled energy management solutions, advancing its footprint in smart genset systems and aftermarket services to increase customer value.
✅ Yamaha Motor Co. Ltd. - pursued growth via acquisitions focused on regional distribution networks and production site expansions in emerging Asian markets, aiming to boost accessibility of gasoline gensets.
Market Segmentation Analysis:
-By Power: The Gasoline Gensets Market is segmented into < 2 kVA, 2 kVA - 3.5 kVA, and 3.5 kVA - 5 kVA. The segment < 2 kVA holds the highest market share at approximately 38.6% as of 2025, driven by widespread demand for compact, portable generators ideal for residential and light commercial use, balancing power output with fuel efficiency effectively.
-By Phase: The market is divided into Single Phase and Three Phase segments. Single Phase dominates due to its prevalent use in residential and small commercial applications where power demand is moderate, making it more common than Three Phase units which are used for larger industrial purposes.
-By End-User: The market includes Residential, Construction, and Industrial segments. Residential accounts for the largest share, about 44.2%, fueled by household dependency on uninterrupted power for essential appliances, increasing urbanization, and the need for backup power in areas prone to outages. Construction and Industrial follow but hold smaller portions due to more specialized power requirements.
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Growth Drivers:
-Rising demand for reliable and uninterrupted power supply in residential, commercial, and industrial sectors.
-Increasing frequency of power outages caused by natural disasters and ageing power grid infrastructure.
-Expanding construction activities, infrastructure development, and outdoor events creating higher demand for portable power solutions.
-Technological advancements improving fuel efficiency, emission reductions, and durability of gensets.
-Growing emphasis on eco-friendly models and integration of smart and IoT technologies for better energy management.
-Rapid urbanization and industrialization in emerging economies boosting needs for backup and off-grid power solutions.
Regional Insights:
-Asia-Pacific: The Asia-Pacific region is either the dominant market or the fastest-growing market, depending on the source. Rapid industrialization, infrastructure projects, urbanization, and unreliable electricity grids in countries like China and India are driving demand.
-North America: North America is a major market for gasoline gensets, driven by the widespread adoption of backup power solutions for residential and commercial applications. Frequent power outages caused by extreme weather and an aging power grid contribute to the demand in the U.S. and Canada.
-Europe: Europe holds a substantial share of the market, with demand driven by stringent regulations on power reliability and environmental standards. Western European countries like Germany and France are significant markets due to their advanced infrastructure.
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Key Players:
Kohler Power | Honeywell | SUMBER MAS SEJAHTERA | Jet Power Company | Generac | Kirloskar | SUMEC Machinery & Electric Co., Ltd. | Armstrong Power | Caterpillar Inc. | Siemens AG
Key Highlights (Top 5 Key Players) for Gasoline Gensets Market:
-Kohler Co. reported approximately USD 10 billion in revenue for the fiscal year, with strong market presence in residential, commercial, and industrial gasoline genset segments.
-Generac Holdings Inc. generated net sales of around USD 4.56 billion in 2024, driven by innovative power generation solutions including gasoline gensets.
-Caterpillar Inc. holds significant market share with high-quality and durable gasoline genset products, contributing robust revenue in the power generation sector.
-Cummins Inc. maintains a strong position with extensive product range and global presence, capturing substantial revenue in gasoline gensets and industrial power solutions.
-Siemens AG operates in the gasoline genset market with sizable revenue contributed through advanced power generation technologies and commercial applications.
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